Hello Accelerated Math Students! As part of your Quarter 2 investment project, you will post on this blog using your holiday pseudonym. You will also comment on two other posts. EXTENDED DUE DATE: SUNDAY DECEMBER 11, 2016. The grades are now finished for the blog.
Tuesday, December 6, 2016
Asset Allocation
In order to gain a broad understanding of investments, I read an online article, http://money.usnews.com/money/personal-finance/articles/2014/09/05/10-financial-terms-every-investor-should-know, regarding financial terms. One word I found interesting was asset allocation. I learned that asset allocation was an investment strategy aiming to balance risk and reward by distributing a portfolio's assets based on an individual's goals. There are 3 general categories in which money can be stored: cash, bonds, and stocks. Considering each class has a unique level of risk and reward factor, each will behave differently over time.
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What do you mean by "distributing a portfolio's assets based on an individual's goals"?
ReplyDeleteHow did the online article help you in finding which company to invest in?
ReplyDeleteInvestment refers to purchase of financial assets. While Investment Goods are those goods, which are used for further production.(http://kalyan-city.blogspot.com/)
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